HomeMy WebLinkAbout10/17/2000AGENDA
CITY OF WHEAT RIDGE
URBAN RENEWAL AUTHORITY
Tuesday, October 17, 2000
7:00 p.m.
Notice is hereby given of a Public Meeting to be held before the City of Wheat Ridge Urban
Renewal Authority on October 17, 2000, at 7:00 p.m., City Council Chambers, 7500 West
29th Avenue, Wheat Ridge, Colorado.
1. Call The Meeting to Order
2. Roll Call of Members
3. Approval of Minutes - September 19, 2000
4. Public Forum (This is the time for any person to speak on any subject not appearing
on the agenda. Public comments may be limited to 3 minutes.)
5. Old Business
6. New Business
A. Northwest Corner of 44th/Wadsworth
B. Wheat Ridge Water District - Walt Petit
C. Market Feasibility Study - Status Report
7. Other Matters
8. Adjournment - November 21, 2000
\\Comdev\comdev\Planning\Ecodev \AGENDAS\001017. W PD
OE WHEAT
- City of Wheat Ridge
Planning and Development Department
~oc oR Aa°
Memorandum
TO: Wheat Ridge Urban Renewal Authority
FROM: Alan White, Planning and Development Director (W
SUBJECT: October 17, 2000 WRiJRA Meeting
DATE: October 10, 2000
Agenda Item A-- Old Business: Please bring your map and property information from the last
meeting for this discussion item.
Agenda Item A- New Business: Members had requested that I invite Walt Petit to a WRLJRA
meeting. He will be attending this meeting to discuss infrastructure needs in and near the Urban
Renewal Area.
MINUTESOF
WHEAT RIDGE URBAN RENEWAL AUTHORITY
September 19, 2000
7:00 P.M.
1. CALL THE MEETING TO ORDER
The Wheat Ridge Urban Renewal Authority meeting was cailed to order by Chairman Jerry
Roach at 7:05 p.m.
2. ROLL CALL OF MEMBERS
Commissioners present: Sandra Collins
Vance Edwazds
Jim Goddard
Elwyn Kiplinger
Janet Leo
Dick Matthews
Jerry Roach
Commissioners absent: Rae Jean Behm
Norm Burkpile
John Hall
Mazgy Platter
Also attending were: Alan White, Planning Director
Claudia Worth, City Council
Jesse Silverstein, Development Reseazch Partners
Ann Lazzeri, Recording Secretary
3. APPROVAL OF MINUTES
The minutes of the regulaz meeting of August 15, 2000 and the special meeting of
August 23, 2000 were presented for consideration. It was moved by VANCE EDWARDS
and seconded by JANET LEO to approve both sets of minutes as presented. The
motion passed unanimously with JERRY ROACH abstaining.
4. PUBLIC FORUM
There were none present to address the Authority.
5. OLD BUSINESS
" WRURA Minutes Page 1
09/19/00
A. Tabor Amendment - Vance Edwards reported that a decision recently handed down
by the District Court in Jefferson County ruled that urban renewal districts are not
considered districts under the Tabor Amendment.
6. NEW BUSINESS
A. Status Report on URA Market Feasibility Study - Jesse Silverstein of
Development Reseazch Partners distributed and reviewed copies of a draft report of
the first segment of the mazket feasibility study his firm is conducting for the urban
renewal azea. This segment involves a physical invenYOry of land and businesses as
well as demographics in the study area.
Mr. Silverstein invited Authority members to call him with any questions or comments after
they have had opportunity to review the draft. These comments, as well as those received at
tonight's meeting, will be incorporated into his presentation at the next WRURA meeting. It
was suggested that the next draft be made available to Authority members in advance of the
meeting to give them time to review and have questions or comments ready at the time of
the meeting.
B. Northeast Corner of 44th/Wadsworth - Property Information - Alan White
presented information relating to ownership, size, property and sales taY on nine
properties at the northeast corner of 44th and Wadsworth.
It was moved by SANDRA COLLINS and seconded by ELWYN HIPLINGER t6at
Lots 1 through 9 at the northeast corner of WadswoMh and 44th Avenue be included in
the Urban Renewal Area Consultant's feasibility study. The motion passed
unanimously with JERRY ROACH abstaining
C. Consultant for 44th/Ward Road Area Market Feasibilitv Study (Action
Requested) - Alan White requested direction from the Commission regarding the
market feasibility study for I-70, Tabor and 44th Avenue.
Claudia Worth, District IV Council representative, indicated that residents of her district
seem to be in favor of placing this area under urban renewal.
It was moved by DICK MATTHEWS and seconded by SANDRA COLLINS that
members of the HoteUMotel Task Force be contacted to see if they would like to jointly
participate in the market feasibility study for the I-70, Tabor and 44th Avenue in terms
of choosing a consultant and funding the study from the 2/5 hoteUmotel fund. The
motion passed unanimously.
OTHER MATTERS - There were no other matters to come before the Authority.
WRURA Minutes Page 2
09/19/00
8. ADJOURNMENT - It was moved by DICK MATTHEWS and seconded by ELWYN
KIPLINGER to adjourn the meeting at 8:40 p.m. The motion passed unanimously.
JERRY ROACH
Chair
WRiJRA Minutes
09/19/00
Ann Lazzeri
Recording Secretary
Page 3
44th & Wadsworth Market Analysis
Handouts
for
Wheat Ridge Urban Renewal Authority
October 17, 2000
I'\
Development Research Partners
Jesse D. Silverstein
303-933-4464
jessedrp@earthlink.net
Trade Area Demographics
The first questions of feasibility are how lazge is the mazket and how many consumer dollars are
available? Retailers, businesses and developers traditionally, evaluate market potential based on
"rings" of distance from the location in question. The following chart illustrates radii
demographics for the study area. A one-mile radius is considered the primary trade area.
44`" & Wadsworth Ave & Wadsworth Blvd (1999)
1-mile radius 3-mile radius 5-mile radius
Indicator
Population
Households
Average household size
Median age
Population by Race:
White
Black
American Indian
Asian/ Pacific Islander
Other Races
13,617
120,963
312,473
6,311
53,515
127,689
2.1
2.2
2.4
45.9
39.7
38.1
94.2%
89.1%
83.6%
0.5%
1.0%
13%
0.6%
0.9%
0.9%
1.9%
2.6%
3.0%
2.8%
6.5%
11.2%
Hispanic Origin (any race) 83%
16.9% 25.1%
Per capita income $23,518 $21,258 $21,344
Avg. household income $49,227 $46,986 $51,822
Median household income $40,726 $38,824 $42,129
Source: CACI Marketing Systems prajections; Development Research Partners Traditional analysis tends to focus on household incomes. This approach pits one location
against another. For instance, the following compazison could indicate notably stronger
competing locations elsewhere in the Denver azea compared to 44h and Wadsworth. A more in
depth analysis is required to fully identify compazative advantages at the 44"' and Wadsworth
location.
Comparative Demographics
Indicator
44th &
Wadsworth
1-mile radius*
Median age
45.9
Avg. household income
$49,227
Median income
$40,726
Source: CACI Marke[ing Systems projections
44th &
Denver-Boulder
Wadsworth
CMSA**
5-mile radius*
38.1
36.4
$51,822
$74,296
$42,129
$53,024
*1999 estimate
**2000 estimate
Income-Density Approach to Primary Trade Area Demand
The total purchasing power of a given trade azea is actually a better indicator of potential demand
than average household income. For example, a recent U.S. Treasury Department commissioned
analysis found that nationally, on average, lower income households spend proportionately more
on goods and services than higher income households.
For 44`n and Wadsworth, household income in the 1-mile radius trade area is estimated at:
$310.7 million Total Trade Area Income 6,311 Househalds X$49,227 Avg. Household Income)
According to the U.S. Census Bureau Consumer Expenditure Survey (CES), American
households in general spend azound 85.4% of their annual before tax income on household goods
and services. The Consumer Expenditure Survey also reports on spending by specific
demographic sectors, which will be used to refine an estimate consumer spending for the primary
trade azea. Trade Area Primary Trade CES Demographic Catego
Characteristic
Area
Region
Denver Metro
Denver Consumers:
Income
$49,227
Household Income $50K-$69K:
Household Size
2.1
2-person Household:
CES Survey:
Expenditures as %
of Household Income
863%
84.4%
3-person Household:
Setting Urban* Urban Consumers:
Source: U.S. Bureau of Labor Statistics, Consumer Expenditure Survey; CAC/ Marketing Systems
* CES divides setting inta Urban vs. Rural
82.2%
82.9%
84.6%
Of total expenditures, CES data reveals that spending for consumer goods and services capture
from 82.2% to 84.6% of before-tax income. Denver metropolitan CES surveys indicates
households spend an estimated 863% on average. Data for income characteristics is based on a
relatively small sample (7,654 households), and therefore less emphasis is placed on this
indicator. The 2-person household (33,234 households) sample is lazger and therefore somewhat
a more reliable indicator. With primary emphasis on the overall metropolitan Denver sample
(23,609 households) and urban consumers (93,854 households), and secondary consideration of
household size, it is estimated that primary trade area households will spend between 84% and
86% of their income on household goods and services.
Of total expenditures, retail spending accounts for about 42% of household expenditures:
$264.1 million Total Spending $310.7 million Household Income X 85% Consumption)
$110.9 million Retail Spending 42% Retail X$264.1 million Total Spending)
Retail Market Gaps
The Denver metropolitan azea is considered the primary market wherein consumers
throughout the region shop among competing retailers. The overall Denver metropolitan region
is used to benchmark typical consumer patterns for the market areaI .
Retail Sales Per Household
, ❑ Denver Metro 0 ZIP 80033
Each bar-grouping represents a distinct consumer expenditure category, and each bar
represents total sales revenue, in that geographic region. This chart illustrates how the ZIP Code
80033 area competes within the lazger market. Notable observations:
• Overall household consumption (Total Retail Trade) in the study area ($11,210) is
less than the overall Denver mazket ($13,565), indicating the azea is under-served and
a net exporter of consumer dollazs.
• There is apparently an opportunity to further develop under-served mazkets in all
categories, except auto parts & service businesses. Data shows the apparel/accessories
sector to be meeting local demand.
' ZIP Code area is used, trade area/radii data under development
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Another way of identifying market opportunities is with a mazket potential quotients. The ratio
of local retail sales to metro Denver average sales trends provides a measurable indicator of
market saturation. If the quotient is less than one, it indicates that the local area may be under-
served in that retail category. Again, the area tends to be under-served in all categories except
automotive.
Location Quotient
S ZJP 80033
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Local Product Demand
Rather than comparing local sales to a revenue benchmark, this analysis compares projected
household expenditures with retail sales. Household expenditures for the ZIP Code 80033 area
are Forecast based on U.S. Census Consumer Expenditure Survey analysis.
The following chart compares forecasted per household expenditures with actual per household
retail sales in the trade area. Average retail sales ($11,210) is less than projected household
consumption ($19,912) in the ZIP Code azea indicating the overall mazket is under-served by
existing businesses. This could be attributable to either an insufficient number of businesses,
square footage, or a mismatch in the type and quality of goods being offered.
Sales per Household vs. Household Spending
p 7JP 80033 0 CES Estimated Expenditures
$5,000
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Specifically, there is mazket potential for general merchandisers, food stores, ftuniture and home
furnishing stores, restaurants and miscellaneous retailers.
The chart on the following page maps retail categories to consumer expenditure categories used ,
to estimate local product demand.
NOTE: The inFormation contained herein is based on a preliminary analysis. The data presented is currently being
validated and verified as to reliability. Analysis of a more localized trade areas is currently underway.
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